MADRID, Spain  Ferrari's back on top, Lewis Hamilton is a title contender and two-time Formula One champion Fernando Alonso is back with Renault.

Add night racing to all that and one of F1's most exciting seasons is set for a worthy follow-up in 2008.

This year's F1 campaign, which begins at the Australian Grand Prix in Melbourne on March 16, could again be decided at the final race - last year, Kimi Raikkonen snatched the title from bickering teammates Hamilton and Alonso at the Brazilian GP. It was the closest championship in 21 years.

Raikkonen, who replaced seven-time champion Michael Schumacher, gave Ferrari its first title since 2004. "The Iceman" still has a way to go to match Schumacher, but he can start by defending his title.

The Finn can expect competition from Ferrari teammate Felipe Massa after sporting director Stefano Domenicali - who replaced new chief executive Jean Todt - said both would be treated as equals, just like last season.

With the No. 1 tag returned to the front nose of the Ferrari, Raikkonen and Massa have driven like equals in winter testing, regularly topping lap times.

But McLaren has stayed alongside its Italian counterpart.

Especially Hamilton, who is focused on not repeating last season's mistakes, when the 23-year-old British driver blew a chance to become the first rookie champion.

"With the package we have I doubt it very much that Kimi will run away with it," said Hamilton, F1's first black driver. "What Ferrari have is a very good car. But if you look at last year in Barcelona (testing) there was a bigger gap, three to four-tenths between us. This year I think it is a lot closer - we have equal cars."

Hamilton, who finished second in 2007, has a supportive teammate in the soft-spoken Heikki Kovalainen. The Finnish driver traded places with Alonso and brings fresh air after a turbulent season for the British team.

McLaren was fined a record $100 million and lost the constructors' championship for possessing leaked Ferrari documents. While McLaren shoots for its first title in a decade, Italian police continue their investigation.

Alonso returns to Renault, where he made his name by becoming the youngest champion with back-to-back titles in 2005-06.

The French team has been playing catch-up ever since and offers slight expectations on his return.

Alonso is joined by a rookie teammate for the second straight year in Nelson Piquet Jr. - son of 1987 champion Nelson Piquet. But it's the No. 1 status accorded to the 26-year-old Alonso that could see Renault surprise.

F1 boss Bernie Ecclestone hopes that's the case.

"I just hope that Fernando's car is as fast as Lewis' so we can see some real competition," Ecclestone said.

Renault should duel with BMW Sauber, Williams and Red Bull for the occasional podium place.

BMW Sauber was meant to contend by now, but winter testing suggests the German team is still off the pace.

Williams, led by Nico Rosberg - son of 1982 champion Keke Rosberg - could snatch third from BMW Sauber if it continues the good form it showed over the winter with its Toyota engines.

Rosberg, driving with Japanese rookie Kazuki Nakajima, is staying grounded after rejecting McLaren's vacant seat to stay at Williams, which hasn't won the title since 1997.

"We're aiming for fourth in the constructors' championship. Maybe some podiums with a little luck, but for that we'll need a lot of things to fall into place," the 22-year-old German said.

Honda recruited Ferrari technical director Ross Brawn after a poor campaign that saw it drop to eighth. Driver Jenson Button expects improvements after winning all six points - only two better than Super Aguri.

Germany's Timo Glock returns after a three-year absence to replace Ralf Schumacher - who left for German touring series DTM - at Toyota.

F1 welcomes its first Indian team with Force India, which replaces Spyker.

Team owner Vijay Mallya - a flamboyant, self-styled entrepreneur in the mold of Flavio Briatore - is confident enough to expect drivers Adrian Sutil and Giancarlo Fisichella to be pushing for the podium by Interlagos.

Super Aguri will be the Indian team's direct rival, if the Japanese team can stay on the track amid financing problems.

Two urban races round out the 18-event calendar.

Night racing will make its debut at the Singapore GP on Sept. 28, while the European GP in Valencia joins Monaco as a second race staged on city streets.

Hockenheim will host the German GP, while the U.S. Grand Prix is off the calendar. American driver Scott Speed joined low-level ARCA Series in the United States after being dropped by Toro Rosso.

Car changes could also affect the championship.

Each car features a standard electronic control unit, allowing FIA to ban the use of traction control, a driver aid that will expose pilots in wet conditions.

Teams will be allowed a free engine change without occurring a 10-place penalty. Engines still have to last for two races, however.